Saving Money as a Group

[Shaf]

This is one method of saving money that is very popular over here. A number of people come together to create a group simply for the purpose of saving money. Some of them register the group as an official organization.

Every month end, or every quarter, each member contributes a fixed amount of money as agreed upon. This money can be used to finance a business, or it is all given to one person. The cycle continues till each member receives the same amount.

Some people may choose to contribute varying amounts of money. You can then request for the money after a period of one year and above. There are charges on this strategy. With this type of savings, you can also request for loans from them too to finance a project.

Saving money as a group has its advantages. It makes it easier to discipline yourself to save. You also don't have access to the money so you can't use it anyhow.

 

[Heartstrings]

This is so true,it truly helps alot and in Nigeria,I can say there is no state that you won't see anyone who engages in it. But the registering part is what I am not really sure of over here,I don't think there is need for any registration at my side here. I was told over at the north,you will register and fill a form to become a member and the form itself have it's price. Such group really helps in terms of Savings.

At the end of every year, some people either used theirs for house rent, set up a business or acquire one thing or the other. If not that I have no steady source of income to pay my portion of contribution every month I would have been part of such group myself, because I can see the benefits of it from those who are in such group. Not having access to the money is the better part of it.

 

[isaac01]

If you have a good group,I think it will be a good idea to save money,but the problem comes in when you don't have the right people, if you don't have the right individuals you'll definitely suffer.